TRADE IN ACTION March 9, 2018

By Global Business & Economics Program

HEADLINESGlobal: The 11 member countries of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) (Formerly TPP but now without the United States) signed the new trade agreement in Chile yesterday.

Global: The 11 member countries of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) (Formerly TPP but now without the United States) signed the new trade agreement in Chile yesterday. On the EU side: Theresa May outlined her Brexit intentions during a speech on Friday, in which she noted the UK will face difficulties, but also re-affirming her commitment to a no-border promise for Ireland. After a long period of negotiation and uncertainty, Germany finally has its coalition government, and it is getting to work. The Italian election this Sunday did not bear fruit as no party won with absolute majority, yet proved the rise of anti-establishment sentiment in the region. The populist Five Star Movement swept the most seats in Parliament, while the Northern league surpassed poll expectations, coming in third and defeating Berlusconi’s Forza Italia.On the US side: President Trump’s announcement of new tariffs sent shockwaves across its trading allies. Yesterday, President Trump formalized the tariffs, temporarily exempting Canada and Mexico. As the latest round of NAFTA negotiations wrapped up Monday, overcast by President Trump’s announcement of steel and aluminum tariffs. President Trump’s top economic adviser Gary Cohn resigned Tuesday, just days after Trump’s announcement of tariffs.

In unscripted remarks that caught even his closest advisers off guard, President Trump announced last week that he intends to impose tariffs of 25 percent on steel and 10 percent on aluminum imports. That proposal was criticized across the world and even by members of Trump’s own Republican Party. Nevertheless, Trump has dug in and, in the process, lost his top economic adviser, Gary Cohn. On March 6, Cohn announced his intention to resign.

How does the EU feel about all this? To find out, Atlantic Council’s Ashish Kumar Sen turned to David O’Sullivan, the EU’s ambassador to the United States. Read the interview here.

“We have said that we reserve our right to impose rebalancing additional tariffs on the United States’ exports of other products if this is done, because we think that this is not compatible with WTO [World Trade Organization] rules.“ - Ambassador David O’Sullivan

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Global: The 11 member countries of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) (Formerly TPP but now without the United States) signed the new trade agreement in Chile yesterday. On the EU side: Theresa May outlined her Brexit intentions during a speech on Friday, in which she noted the UK will face difficulties, but also re-affirming her commitment to a no-border promise for Ireland. After a long period of negotiation and uncertainty, Germany finally has its coalition government, and it is getting to work. The Italian election this Sunday did not bear fruit as no party won with absolute majority, yet proved the rise of anti-establishment sentiment in the region. The populist Five Star Movement swept the most seats in Parliament, while the Northern league surpassed poll expectations, coming in third and defeating Berlusconi’s Forza Italia.On the US side: President Trump’s announcement of new tariffs sent shockwaves across its trading allies. Yesterday, President Trump formalized the tariffs, temporarily exempting Canada and Mexico. As the latest round of NAFTA negotiations wrapped up Monday, overcast by President Trump’s announcement of steel and aluminum tariffs. President Trump’s top economic adviser Gary Cohn resigned Tuesday, just days after Trump’s announcement of tariffs.